Other G10 Central Banks: RBA, BoC, SNB, Nordics, RBNZ — 2026-09-10
Global central banks are adopting a hawkish stance amid rising energy costs, with the ECB joining Australia, Norway, and Japan in tightening monetary policy. In Sweden, the Riksbank held rates steady at 1.75% as inflation cooled, while in Norway, markets are bracing for a potential rate hike to 4.50% following strong economic signals. Meanwhile, the Swiss Franc weakened against the Euro after the ECB's decision, despite the SNB maintaining its zero-percent policy rate.
Other G10 Central Banks: RBA, BoC, SNB, Nordics, RBNZ — 2026-09-10
Top developments
Global Hawkish Shift Driven by Energy Prices
Major central banks are shifting toward a more hawkish stance as inflation and energy costs rise globally. The European Central Bank recently raised rates, joining the Reserve Bank of Australia, Norges Bank, and the Bank of Japan in tightening monetary policy. This synchronized tightening reflects concerns that the surge in oil prices has lifted inflation expectations, pressuring central banks to act decisively to anchor price stability.
Riksbank Holds Rates as Inflation Cools
The Riksbank decided to leave its policy rate unchanged at 1.75% on September 7, 2026, marking a continuation of its current pause. Local analysis suggests that lower-than-expected inflation data released by Statistics Sweden (SCB) significantly reduced the likelihood of a September hike, with Swedbank’s chief economist noting the figures are closer to the Riksbank's forecasts. Nomura strategists now expect the Riksbank to keep rates on hold for the rest of 2026, with only one 25 bp hike anticipated in early 2027.
Norges Bank Faces Pressure to Hike to 4.50%
Norway’s Norges Bank is under increasing pressure to raise its policy rate from 4.25% to 4.50% in the coming months. Nordea analysts warn that higher inflation persists and suggest the rate could remain high until 2028, while Handelsbanken experts believe the "low-rate era" is over, predicting the peak will be 4.50%. Upcoming inflation data is seen as a critical "joker" that could determine whether the next hike proceeds, with E24 noting this figure will be very important for the autumn rate path.
Swiss Franc Weakens Post-ECB Decision
The Swiss Franc fell to a 17-month low against the Euro following the ECB's interest rate hike. Despite the SNB maintaining its policy rate at 0%, the divergence in monetary policy between Switzerland and the Eurozone has pressured the currency. However, USD/CHF pairs have seen some rebound due to broader US Dollar weakness driven by Fed uncertainty, trading around 0.8090 during Asian hours.
Local view
In Sweden, Dagens Industri (di.se) reports that the Riksbank can afford to wait, noting that while price pressures were high for three months, August data dampened these signals almost entirely in line with forecasts. Svenska Dagbladet (svd.se) highlights that clear signals from the ECB or unexpected US inflation data could still push Swedish mortgage rates higher, potentially forcing the Riksbank to flag a hike within two weeks.
In Norway, E24 describes the upcoming inflation print as the "joker" card that will decide the autumn rate path, with experts emphasizing its importance. Nettavisen reports on Handelsbanken’s view that the low-rate era is definitively over, framing the current environment as a structural shift rather than a temporary blip.
Context & numbers
- Riksbank Policy Rate: 1.75% (Unchanged since September 2025).
- Norges Bank Policy Rate: 4.25% (Unchanged since May 2026); Market pricing implies a move toward 4.50%.
- SNB Policy Rate: 0.00% (Unchanged).
- USD/CHF Exchange Rate: Approximately 0.8090.
- ECB Deposit Rate: Raised to 2.50%.
On the radar
- Norwegian CPI Release: The upcoming inflation data is critical for Norges Bank's next decision, with markets watching closely for signs of persistent core inflation.
- RBNZ Next Meeting: Odds are currently at 88% for a hold at the October 28, 2026 meeting, but market expectations may shift if global hawkish sentiment intensifies.
- Swedish Mortgage Rates: Local stakeholders are monitoring whether the Riksbank will flag a future hike to manage the impact of ECB-led euro-area tightening on Swedish borrowing costs.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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